A bookkeeping contract defines the monthly close scope (categorization, reconciliation, financial statements by a stated business day), prices by transaction volume or entity complexity ($300–$2,500/month typical; hourly $30–$100), assigns software subscriptions and access, sets the client's document-delivery deadline that the close deadline depends on, and draws the boundary line: bookkeepers record and reconcile — tax preparation, audits, and attestation are CPA work priced separately.
Bookkeeping Contract Template
Reviewed by the Agiled editorial teamUpdated June 2026
Bookkeeping engagements drift in two directions: the scope grows (payroll, invoicing, cleanup of years past) while the fee stands still, and the deadlines slip...
Part of our free contract template library — 75+ agreements in Word and PDF, ready to customize and sign.
Full template text
BOOKKEEPING SERVICE CONTRACT
This Bookkeeping Service Contract ("Agreement") is entered into as of [Date] by and between:
Bookkeeper: [Name / Business Name], located at [Address], Phone: [Phone], Email: [Email] ("Bookkeeper")
Client: [Business Name], located at [Address], Phone: [Phone], Email: [Email], Primary Contact: [Name, Title] ("Client")
1. Scope of Services
The Bookkeeper shall provide the following services:
a) Record and categorize all business financial transactions on a [daily / weekly / monthly] basis.
b) Reconcile all bank accounts and credit card accounts monthly.
c) Manage accounts payable: process vendor invoices, schedule payments, and maintain vendor records.
d) Manage accounts receivable: generate customer invoices, track payments, and follow up on overdue accounts.
e) Process payroll for [Number] employees on a [weekly / bi-weekly / semi-monthly / monthly] basis, including calculation of wages, deductions, and employer tax contributions.
f) Prepare and deliver the following monthly financial reports:
- Income Statement (Profit & Loss)
- Balance Sheet
- Cash Flow Statement
- Accounts Receivable Aging Report
- Accounts Payable Aging Report
g) Maintain organized digital records of all financial documents.
h) Prepare year-end financial records and provide them to the Client's CPA or tax preparer.
i) [Additional services: _______________].
2. Excluded Services
The following services are NOT included and may be available for an additional fee:
a) Tax preparation and filing (federal, state, or local).
b) Financial auditing or audit preparation.
c) Financial planning, investment advice, or business consulting.
d) Preparation of budgets or financial projections (unless specifically included above).
e) Setup of new accounting software or migration from a previous system.
f) Cleanup of backlogged or disorganized financial records predating this Agreement.
3. Accounting Software and Tools
a) All bookkeeping services shall be performed using [QuickBooks Online / Xero / FreshBooks / Wave / Other: ___].
b) Software license and subscription costs are the responsibility of the [Client / Bookkeeper].
c) The Client shall provide the Bookkeeper with [administrator / standard user] access to the accounting software.
d) The Bookkeeper may use additional tools for communication, file sharing, and project management, including [list tools, e.g., Dropbox, Slack, HubDoc].
4. Data Access
a) The Client shall provide the Bookkeeper with read-only or appropriate-level access to: bank accounts (via bank feeds or statement uploads), credit card accounts, payment processors, and any other financial accounts necessary to perform the services.
b) The Client shall provide login credentials or authorized access using a secure method (e.g., password manager, encrypted email). Credentials shall not be shared via unencrypted text message.
c) The Bookkeeper shall not share access credentials with any unauthorized third party.
5. Deliverables and Deadlines
a) Monthly financial reports shall be delivered to the Client by the [15th / 20th] of the following month.
b) Bank and credit card reconciliations shall be completed within [10] business days of month-end.
c) Payroll shall be processed [Number] business days before each pay date.
d) Year-end records shall be delivered to the Client's CPA by [January 31 / February 15] of the following year.
e) If the Client fails to provide necessary information by the [5th] of each month, the Bookkeeper's deadlines shall be extended by a corresponding number of days.
6. Compensation
a) Monthly Fee: $[Amount] per month for the services described in Section 1.
b) Additional Services: Services outside the scope of Section 1 shall be billed at $[Amount] per hour, with prior written approval from the Client.
c) Setup Fee (if applicable): $[Amount] for initial setup, software configuration, and chart of accounts creation.
d) Catch-Up / Cleanup Fee (if applicable): $[Amount] per month of backlogged records, quoted separately.
e) Payment Due: The [1st / 15th] of each month, for services to be rendered that month.
f) Payment Method: [ACH / Check / Credit Card / Online Payment].
g) Late Payment: Payments more than [10] days past due shall incur a late fee of $[Amount] or [1.5]% of the outstanding balance per month, whichever is greater.
h) If payment is more than [30] days past due, the Bookkeeper reserves the right to suspend services until the balance is paid in full.
7. Client Responsibilities
a) Provide complete and accurate financial information, including receipts, invoices, bank statements, and any documents requested by the Bookkeeper.
b) Respond to the Bookkeeper's questions and requests within [3] business days.
c) Notify the Bookkeeper promptly of any new bank accounts, credit cards, loans, or financial arrangements.
d) Maintain an organized document management system for receipts and supporting documents.
e) Do not make journal entries or adjustments in the accounting software without notifying the Bookkeeper.
f) Review and approve financial reports within [5] business days of delivery.
8. Confidentiality
a) The Bookkeeper acknowledges that they will have access to confidential financial information of the Client, including bank account numbers, tax identification numbers, payroll data, vendor and customer information, and financial performance data.
b) The Bookkeeper agrees to keep all such information strictly confidential and shall not disclose it to any third party without the Client's written consent, except as required by law.
c) The Bookkeeper shall implement reasonable security measures to protect the Client's data, including secure password management, encrypted communications, and restricted access.
d) This confidentiality obligation survives the termination of this Agreement.
9. Data Ownership and Retention
a) All financial records, reports, and data created or maintained during the engagement belong to the Client.
b) The Bookkeeper shall retain working copies of the Client's financial records for a period of [3 / 5 / 7] years after the engagement ends, unless instructed otherwise by the Client.
c) Upon termination, the Bookkeeper shall deliver all financial records, working papers, and accounting software data files to the Client in a standard, accessible format within [30] days.
d) The Bookkeeper shall permanently delete all Client data from their systems within [60] days of termination, upon the Client's written request.
10. Professional Disclaimer
a) The Bookkeeper provides bookkeeping and financial record-keeping services only. The Bookkeeper does NOT provide accounting, tax preparation, tax advisory, financial planning, investment advice, or legal services.
b) The Client is responsible for consulting with a licensed CPA, enrolled agent, or financial advisor for tax planning, tax filing, audit preparation, and financial advisory needs.
c) The Bookkeeper shall not be responsible for the Client's business decisions made based on financial reports prepared by the Bookkeeper.
11. Limitation of Liability
a) The Bookkeeper's total liability under this Agreement shall not exceed the total fees paid by the Client during the [6 / 12] months preceding the claim.
b) The Bookkeeper shall not be liable for errors resulting from incomplete, inaccurate, or untimely information provided by the Client.
c) The Bookkeeper shall not be liable for penalties, interest, or additional taxes resulting from the Client's failure to file tax returns, make estimated tax payments, or comply with tax obligations.
d) Neither party shall be liable for indirect, incidental, consequential, or punitive damages.
12. Term and Renewal
a) This Agreement is effective from [Start Date] and shall continue for an initial term of [12] months.
b) After the initial term, this Agreement shall automatically renew on a month-to-month basis unless either party provides [30] days' written notice of non-renewal.
13. Termination
a) Either party may terminate this Agreement by providing [30] days' written notice.
b) Upon termination: - The Client shall pay for all services rendered through the termination date, including any outstanding fees and charges for additional services.
- The Bookkeeper shall complete all work in progress through the current month-end and deliver final financial reports.
- The Bookkeeper shall transfer all financial data, files, and records to the Client or their designated representative within [30] days.
- The Bookkeeper shall revoke their own access to the Client's financial accounts and systems.
c) The Bookkeeper may terminate immediately if the Client engages in illegal activity, requests the Bookkeeper to perform illegal acts, or fails to pay for more than [60] days.
14. Indemnification
a) The Client shall indemnify the Bookkeeper against claims arising from the Client's failure to provide accurate information, the Client's illegal activities, or the Client's failure to comply with tax or regulatory obligations.
b) The Bookkeeper shall indemnify the Client against claims arising from the Bookkeeper's gross negligence or willful misconduct.
15. Dispute Resolution
Disputes shall be resolved through good-faith negotiation, followed by mediation if necessary. If mediation fails, disputes shall be resolved through binding arbitration in [City, State]. This Agreement shall be governed by the laws of the State of [State].
16. Entire Agreement
This Agreement constitutes the entire understanding between the parties. Amendments must be in writing and signed by both parties.
SIGNATURES
Bookkeeper Signature: ___________________________ Date: _______________
Print Name / Business Name: ___________________________
Client Signature: ___________________________ Date: _______________
Print Name / Title: ___________________________
- Monthly bookkeeping
- $300 – $2,500 by volume
- Hourly
- $30 – $100
- Close delivery
- By the 10th–15th business day
- Cleanup projects
- Quoted separately, often flat
What your bookkeeping contract should cover
Monthly scope, itemized
Transaction categorization, bank/credit-card reconciliation (accounts listed by name), monthly P&L and balance sheet, and a stated delivery day. The account list matters — 'reconcile the books' on an unstated number of accounts is unpriceable.
Transaction tier and re-tiering
Pricing tied to monthly transaction volume (e.g., up to 100 / 250 / 500), with automatic re-tiering when the client outgrows the band for two consecutive months. Growth shouldn't require an awkward renegotiation.
Client document deadline
Statements, receipts, and answers to categorization questions due by a stated day (commonly the 5th). The close deadline runs from the client's delivery, not the calendar — this clause is what makes the delivery date honest.
Software, subscriptions, and access
Who pays for QuickBooks/Xero and any apps, who owns the file, and access via accountant seats with read-only bank feeds — never shared client passwords. File ownership on termination belongs here, decided up front.
Explicit exclusions
Tax return preparation, tax advice, audits, attestation, CFO forecasting, payroll filing — excluded unless added as priced services. The exclusion list protects the bookkeeper from unlicensed-practice exposure and the client from assumption gaps.
Add-on services with prices
Payroll processing (per run or per employee), invoicing/AR, bill pay/AP, sales-tax filings, and 1099 preparation (per form, January pricing) — listed with rates so 'can you also...' has an answer.
Historical cleanup as a separate project
Catch-up and cleanup work quoted after a diagnostic review, flat or by period, before the monthly engagement begins. Folding an unknown mess into a monthly fee is how engagements start underwater.
Liability limits and accuracy responsibility
The bookkeeper works from the records provided; liability capped (commonly at fees paid in the trailing 12 months); the client reviews statements and reports errors within a stated window. Errors-and-omissions insurance noted where carried.
Confidentiality and termination
Financial data confidentiality, 30 days' notice to terminate, a defined handoff (final reconciliation through the last full month, file export, access revocation), and fees due through the notice period.
Typical bookkeeping pricing (U.S., 2026)
| Service | Typical range | Notes |
|---|---|---|
| Monthly — low volume (<100 txns) | $300 – $700 | Single entity, 2–3 accounts |
| Monthly — mid volume | $700 – $1,500 | Multiple accounts, light AR/AP |
| Monthly — high volume/complex | $1,500 – $2,500+ | Inventory, multi-entity |
| Hourly | $30 – $100 | Cleanup and ad hoc work |
| Historical cleanup | $500 – $5,000+ | Quoted after diagnostic |
| Payroll add-on | $50 – $200/month | Plus per-employee fees |
| 1099 preparation | $10 – $25/form | January deadline work |
Pricing scales with transaction volume, account count, and entity complexity more than with revenue. Value-priced fixed monthly fees have largely replaced hourly billing for recurring engagements.
How bookkeeping contracts work in practice
The standard monthly close
The rhythm the contract encodes: client documents in by the 5th, categorization questions sent and answered, reconciliations completed, P&L and balance sheet delivered by the 10th–15th business day. The dependency chain matters — when the client's documents arrive on the 14th, the close delivers late and the contract says whose lateness that was. Bookkeepers who skip this clause end up explaining to a CPA in March why Q4 isn't closed.
The cleanup-first engagement
Most new clients arrive with months or years of mess. The professional pattern: a paid diagnostic review (or a review built into the first invoice), a flat-quoted cleanup project with a defined endpoint ('books reconciled and closed through December 31'), then the monthly engagement begins on clean ground. The contract separates the two because cleanup effort is unknowable from outside — flat monthly pricing absorbs known work, project pricing absorbs archaeology.
Year-end and the CPA handoff
The bookkeeper's year-end deliverable is a clean trial balance and supporting schedules delivered to the client's tax preparer by a stated date, plus 1099 preparation in January if engaged. The contract draws the line precisely here: the bookkeeper prepares the records the CPA files from, answers the CPA's questions, and books the adjusting entries the CPA provides — but tax positions, filings, and representation belong to the licensed preparer. The clean handoff is the engagement's annual proof of value.
Mistakes that weaken a bookkeeping contract
Absorbing scope creep silently
Payroll 'just this once,' a few invoices, a sales-tax filing — each reasonable, collectively a second job at zero rate. The add-on price list converts every 'can you also' into a yes with a number.
Promising a close date without a document deadline
A delivery date the client's own lateness can break isn't a commitment, it's a trap. The close clock starts when the documents arrive — in writing.
Quoting monthly before seeing the books
The books are always worse than described. Diagnostic first, cleanup as a project, monthly fee for the steady state — in that order.
Working through shared passwords
Logging in as the client destroys the audit trail and breaches bank terms. Accountant access seats and read-only feeds exist for exactly this reason; the contract should require them.
Leaving tax work ambiguous
Clients assume 'my bookkeeper handles my taxes.' Unless the bookkeeper is also a licensed preparer and priced it, the exclusion needs to be explicit — assumption gaps surface as April emergencies.
How to use this template
- 01
Download the bookkeeping contract template in Word or PDF.
- 02
Itemize the monthly scope: accounts reconciled, reports delivered, and the delivery day.
- 03
Set the transaction tier, the monthly fee, and the re-tiering rule.
- 04
Set the client document deadline that the close date depends on.
- 05
Quote historical cleanup as a separate project and list add-on prices.
- 06
Add liability caps, confidentiality, and termination handoff terms, then have both parties sign.
Skip this template if…
- Audit, review, or attestation services — licensed CPA-firm engagements under professional standards.
- Fractional CFO work — forecasting, fundraising support, and board reporting need a separate advisory agreement.
FAQs
How much does a bookkeeper cost per month?
Typical fixed monthly fees run $300–$700 for low-volume businesses, $700–$1,500 for mid-volume, and $1,500–$2,500+ for high-volume or multi-entity work. Hourly rates run $30–$100. Volume, account count, and complexity drive pricing more than revenue does.
What does monthly bookkeeping include?
The standard close: categorizing transactions, reconciling listed bank and credit-card accounts, and delivering a P&L and balance sheet by a stated business day. Payroll, invoicing, bill pay, sales-tax filings, and 1099s are add-ons priced separately in the contract.
Can a bookkeeper do my taxes?
Bookkeeping and tax preparation are different services. A bookkeeper prepares the clean records a tax preparer files from; preparing returns and giving tax advice belongs to a licensed preparer (CPA or EA) unless your bookkeeper separately holds that credential and prices it.
What is a bookkeeping cleanup and what does it cost?
Catch-up work bringing past months or years to reconciled, closed status — typically quoted flat after a diagnostic review, anywhere from $500 to $5,000+ depending on the mess. Professionals price it as a separate project before starting the monthly engagement.
Who owns the QuickBooks file if we part ways?
Whatever the contract says — which is why it must say. Best practice: the client owns the subscription and the file, the bookkeeper works through an accountant seat, and termination includes a final reconciliation, file export, and access revocation within a defined handoff period.
Why does my bookkeeper need my documents by a deadline?
Because the close is a dependency chain: statements and receipts in, questions answered, reconciliations done, reports out. The contract ties the delivery date to the document deadline so both sides know that late documents move the close — it's the clause that keeps the relationship honest.
Pair it with the accounting invoice template
The contract sets the terms — the invoice collects on them. Free download with the right line items pre-filled.
Need more than a template?
Create, send, and e-sign contracts with Agiled — alongside your CRM, invoicing, and projects.
Start free with Agiled